Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Pioneer launches first UK fund in bid to offer rate rise protection

Pioneer Investments has launched its first UK dedicated fund, which it says will cater for investors when bond yields and interest rates rise.

The Pioneer Sicav - Absolute Return Sterling Bond fund, an extension of Pioneer's existing absolute return bond strategy, looks to deliver capital preservation while generating positive returns in rising or falling markets. 

The fund is designed to deliver cash-like returns based on the Sterling Overnight Index Average (Sonia), which it aims to outpeform by 4%. It is co-managed by Pioneer Investments’ European fixed income and credit teams, with Tanguy Le Saout and Cosimo Marasciulo serving as lead managers.

David Hanratty, Pioneer's head of UK and Ireland distribution said in a statement: 'Rising yields and falling bond prices are becoming a reality. The real question here is the timing and the pace at which they will rise.

'We believe that investors now need to consider new approaches to fixed income investing, stepping away from traditional mandates, and considering alternative and innovate approaches.'  

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Brewin's Foster: the world’s most unconventional monetary policies

Brewin's Foster: the world’s most unconventional monetary policies

In this week's podcast, Guy Foster asks why the world’s biggest economies are pursuing some of the world’s most unconventional monetary policies. 

Play Charles Tan on Woodford & hidden trust income gems

Charles Tan on Woodford & hidden trust income gems

Cantor Fitzgerald investment company analyst Charles Tan discusses Woodford Patient Capital and some of the income trusts slipping under the radar.  

Play Taxicab Tenner: SGPB Hambros CIO Eric Verleyen

Taxicab Tenner: SGPB Hambros CIO Eric Verleyen

In the second episode of our new series, Verleyen jumps on board a black cab and explains how hard it's become to find good valuation on the market.  

Wealth Manager on Twitter